IPO Roundup: Peloton gears up for $1.1B offering, content giant Endeavor to debut Friday

Three companies are slated to go public this week, and 2019 continues to be the year of the unicorn IPO.

Pricing Wednesday night

Peloton Interactive Inc (NASDAQ:PTON), the interactive home fitness company, has its eye on a $1.1 billion IPO. The New York-based company expects to offer 40 billion shares at between $26 and $29 per share, which would give it a $9 billion market cap.

The company designs in-home fitness equipment and connects its more than 500,000 subscribers with instructors and other participants around the world. 

In its 2019 fiscal year, the company saw sales more than double to $915 million, according to a report from broker Renaissance Capital, fueled by a subscriber base that accounts for 20% of revenue.

That said, it remains unprofitable. Peloton posted a net loss of $195.6 million in FY2019, and a $47.9 million net loss the year before.

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Oportun Financial Inc (NASDAQ:OPRT), a financial services provider to low and moderate income consumers, hopes to raise $100 million offering 6.3 million shares at between $15 and $17 per share. 

The company bills itself as empowering the so-called “credit invisibles,” the roughly 100 million people in the US who either don’t have a credit score or whose score is not a reflection of their creditworthiness because of limited history.

Since its launch in 2005, the San Carlos, California company has originated more than 13 million loans, extending $6.8 billion in credit to 14 million customers. 

According to a study from the Financial Health Network, Opotun had saved customers more than $1.4 billion in aggregate interest in fees, as of March 31.

The company has been profitable on a pre-tax basis since 2015, according to its investor prospectus.

Pricing Thurday night

Endeavor Group Holdings Inc (NYSE:EDR), a Los Angeles entertainment, sports and content power player, plans to raise $600 million by offering 19.4 million shares at between $30 and $32 per share. 

Its talent agency claims to have represented more Oscar and Grammy winners in 2018 than any other agency, as well as 60% of the headliners at major US music festivals. In 2013 Endeavor acquired modeling agency IMG and in 2016, it bought a majority stake in the mixed martial arts provider UFC.

The company distributes sports content and sells media rights in 160 countries, and its clients include the NFL and the International Olympic Committee.

However, despite its widespread reach the company has long-term debt of $4.6 billion and total liabilities of $7 billion, according to a MarketWatch report.

Contact Andrew Kessel at [email protected] 

Follow him on Twitter @andrew_kessel

Story by ProactiveInvestors